29/05/2026

BIZ & FINANCE FRIDAY | MAY 29, 2026

20

MARKETS/FROM THE BROKERS

SUNBIZ presents extracts of a selection of commentaries and research reports received from stockbrokers on counters that could be of interest to investors.

DISCLAIMER: The information is extracted from stockbrokers’ commentaries and research reports and do not represent the views or opinions of Sun Media Corporation Sdn Bhd. It is not a solicitation, recommendation or an offer to buy or sell the equities featured. Sun Media Corporation shall not be liable or responsible for any consequences resulting from usage of the information.

[ Compiled by SunBiz Team

T7 Global Q1 revenue up 33% on industrial solutions growth KUALA LUMPUR: Energy solutions provider T7 Global Bhd recorded revenue of RM184.6 million for Q1 ended Dec 31, 2026 (FY26), a year-on-year (YoY) growth of 32.9% from RM138.87 million posted in the same quarter last year. The group’s profit before tax (PBT) and profit after tax increased by 14.7% and 0.8% YoY to RM11.2 million and RM8.6 million, respectively. Segment-wise, the industrial solutions segment delivered a significant revenue growth of 142% to RM89.2 million. The energy segment, in turn, recorded commendable revenue of RM95.3 million and remained the group’s largest revenue contributor, accounting for 51.6% of total revenue. T7 Global executive director Tan Kay Zhuin said the group kicked off 2026 with a good set of financial results, supported by significant revenue growth in the industrial solutions segment. “While the energy-related activities experienced a seasonal slowdown during the first quarter, we expect the segment to recover and resume stronger contributions to the group in the coming quarters, supported by ongoing projects within our order book. “Looking ahead, we remain focused on disciplined execution of our secured contracts while being selective in tendering the projects across both segments to ensure sustainable long-term value creation for our stakeholders,“ he said. T7 Global, a leading solutions provider primarily in the energy and industrial solutions businesses with a strong presence in Asia, serves a diverse range of customers across the oil and gas, aerospace, and general industries.

Ringgit ends lower as demand for dollar rises

Exchange Rates

FOREIGN CURRENCY

SELLING TT/OD

BUYING TT

BUYING OD

THE ringgit closed lower against the US dollar yesterday, as escalating geopolitical tensions in West Asia increased demand for the greenback amid heightened risk aversion. At 6pm, the local currency eased to 3.9670/9770 versus the greenback from Tuesday’s close of 3.9660/9705. Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the ongoing conflict involving Iran continued to dominate market sentiment after the US reportedly launched another attack on the country while Kuwait responded to missile and drone threats, signalling slimmer prospects for peace in the Gulf region. He also noted that the heightened tensions pushed oil prices higher, with West Texas Intermediate (WTI) rising 2.21% to US$90.64 per barrel and Brent crude increasing 2.26% to US$96.42 per barrel. “The US Dollar Index (DXY) rose 0.12% to 99.329 points as risk-off sentiment became increasingly prevalent. “As such, the ringgit remained on a weaker trajectory, ranging between RM3.9693 and RM3.9818 against the US dollar,” Mohd Afzanizam told Bernama. At the close, the ringgit traded higher against the British pound but eased versus the Japanese yen and the euro. It appreciated vis-a-vis the British pound to 5.3272/3319 from 5.3470/3530 at Tuesday’s close. The ringgit traded mostly lower against regional peers. It slid versus the Singapore dollar to 3.1085/1115 from 3.1038/1075 at Tuesday’s close, declined against the Thai baht to 12.1613/1773 from 12.1485/1675 previously, and eased vis-a-vis against the Philippine peso at 6.45/6.46 against 6.44/6.46.

1 US Dollar

4.0430 2.8910 3.1550 2.9110 4.6900 2.3860 3.1550 5.4150 5.1500 3.3580 59.8600 64.3400 52.0000 4.3000 0.0237 2.5480 44.6000 1.5100 6.6600 111.8500 108.5600 25.4800 1.2900 44.6800 12.9000 111.0100 N/A

3.8950 2.7720 3.0550 2.8270 4.5350 2.2960 3.0550 5.2390 4.9280

3.8850 2.7560 3.0470 2.8150 4.5150 2.2800 3.0470 5.2190 4.9130

1 Australian Dollar 1 Brunei Dollar 1 Canadian Dollar 1 New Zealand Dollar 1 Singapore Dollar 1 Sterling Pound 1 Swiss Franc 100 UAE Dirham 100 Bangladesh Taka 100 Chinese Renminbi 100 Danish Krone 100 Hongkong Dollar 100 Indian Rupee 100 Indonesian Rupiah 100 Japanese Yen 100 New Taiwan Dollar 100 Norwegian Krone 100 Pakistan Rupee 100 Philippine Peso 1 Euro

105.1900 3.1130 57.2900 59.1600 49.3700

104.9900 2.9130 58.9600 49.1700 3.8000 0.0159 2.4190 40.7900 1.1400 6.0600 105.9800 102.8600 22.8000 0.9300 40.4600 11.0300 N/A N/A

4.0000 0.0209 2.4290

N/A

40.9900 1.3400 6.2600 106.1800 103.0600 23.0000 1.1300 40.6600 11.4300

100 Qatar Riyal 100 Saudi Riyal

100 South Africa Rand 100 Sri Lanka Rupee 100 Swedish Krona

100 Thai Baht

Source: Malayan Banking Bhd/Bernama

Sime Darby Property Bhd Buy. Target price: RM2.15

Time dotCom Bhd Neutral. Target price: RM6.00

Kelington Group Bhd Buy. Target price: RM9.10

May 28, 2026: RM7.50

May 28, 2026: RM6.03

May 28, 2026: RM1.45

Source: Bloomberg

Source: Bloomberg

Source: Bloomberg

Q1’26 core PATAMI grew 8% YoY to RM125.4 million, mainly on cost restraint and partially offset by lower associates and investment income and higher tax expense. It was seasonally weaker QoQ. This formed 24% and 25% of our and consensus FY26 earnings. Q1’26 core EBITDA growth of 17% YoY (+3% QoQ) was aided by lower-than-expected opex which we expect to normalise in subsequent quarters. Wholesale growth (+12% YoY) benefited from data centre (DC) connectivity services but fell QoQ on non-recurring charges. Enterprise revenue narrowed for the second consecutive quarter on lower service integration revenue. Meanwhile, the retail segment grew 10% YoY from fibre broadband (FBB) subs growth (+6% YoY) and marginal ARPU uplift. That said, fibre subs net-adds have decelerated to 6k from 7k from Q4’25 and 8k in Q3’25 due to competition. The nascent home solar business (Emit Solar) contributed to the nominal 1% QoQ rise in retail revenue albeit actual contribution remains minimal (1% of revenue). Fibre homes passed have surpassed 2.1 million as TDC continues to expand into secondary townships and single-dwelling units (50% of new home pass). AIMS reported sharply lower earnings YoY/QoQ due to accelerated depreciation and higher financing charges from its capacity expansion. Consequently, AIMS contribution slipped to RM0.5 million in Q1’26 from RM3.6 million in Q4’25 (Q1’25: RM1.4 million). NEUTRAL with RM6.00 TP. – RHB Research, May 28

SIME DARBY PROPERTY’S Q1’26 earnings missed expectations. The YoY and QoQ drop in revenue was mainly attributed to lower contribution from the property development segment (due to timing of revenue recognition), particularly for high-rise residential projects, as certain developments were either nearing completion or at the initial stages of construction. The sequential decline in Investment and Asset Management (IAM) revenue was due to higher concession revenue in the previous quarter, partly offset by strong performance from the retail subsegment. Meanwhile, the leisure segment was affected by the temporary closure of KLGCC Convention Centre for upgrading works until mid-Feb 2026, resulting in lower F&B and banqueting income. Q1’26 property sales stood at RM918.9 million vs RM800 million in Q4’25. Sales during the quarter were mainly led by the industrial segment, making up 53% of the total, followed by residential landed (24%), residential high-rise (17%) and commercial (6%). About RM600 million worth of projects were released in Q1’26, and management is keeping its plan to launch the remaining RM4.1 billion in GDV. This includes SDPR’s RM900 million maiden project in Melbourne – Aurum. We expect sales to come in stronger in the coming quarters, as most of the launches in Q1’26 (RM516 million industrial and RM47.5 million residential landed products) took place at the tail-end of March. Note that total bookings in hand stands at RM1.1 billion as at May 17, 2026. Q2’26 earnings should see the maiden leasing income contribution from the data centre. BUY and RM2.15 TP – RHB Research, May 28

KGB has secured additional RM176 million advanced engineering (AE) projects over the past six weeks with cumulative orders nearing RM1 billion (Q1’26: RM790 million). A pleasant surprise is the revelation of an additional RM4 billion tenders in Japan, India, and Malaysia which brings the cumulative tenderbook to a staggering RM9 billion (Q1’26: RM5.3 billion). Tender outcomes are expected as early as Q3’26. The number has yet to factor in tenders opening up in 2H’26, especially in Singapore and Europe. The record high RM1.9 billion orderbook (Q1’26) is in itself a reflection of strong structural demand and acute front-end foundry capacity constraints which management expects to continue well into 2027. We think the strong guard rails on project returns and profitability should alleviate execution risks and concerns that resources are being stretched too thin due to the torrid pace of expansion. KGB expects to secure an air separation unit (ASU) project (likely in India) in the near term. ASU contracts supplement ongoing liquid carbon dioxide (LCO2) sales (73% of revenue) with longer-term recurring revenues (similar to onsite gas supply contracts). The group’s foray into renewable energy and carbon capture is at the start-up phase but positive to drive a new leg of growth in the longer term (minimal short-term earnings impact). A strategic partnership for the production of bio-compressed national gas utilising palm oil mill effluent is at advanced stages with a 2H’26 commercialisation timeline. BUY with RM9.10 TP. – RHB Research, May 28